Market Overview
Home Prices in Melbourne, IA
The median home value in Melbourne, IA is $246,496 as of mid-2026, according to Zillow's Home Value Index (ZHVI).That's up 6.7% compared to a year ago and up 4.6% from two years prior.
Compared to the U.S. national median of $410,000, homes in Melbourne are priced40% below average. Melbourne is part of the Marshalltown, IA metro area.
Over the past five years, Melbourne home values have risen by approximately46.9%, reflecting strong long-term appreciation in this market.
Price History
Melbourne Home Price Trend
City Comparison
Melbourne vs. National Median
At $246,496, homes in Melbourne cost 40% below the national median of $410,000. This makes Melbourne a relatively affordable market for buyers seeking value.
Affordability
What Does It Cost to Buy in Melbourne?
20% Down Payment
$49,299
on $246,496
Monthly P&I
$1,286/mo
30-yr @ 6.8%
Total Monthly Est.
~$1,633/mo
incl. taxes & insurance
Income Needed
$65,320
gross annual (30% rule)
10% Down Option
$24,650
+ PMI applies
Loan Amount (20% dn)
$197,197
at current rates
Estimates assume a 30-year fixed mortgage at 6.8%. Monthly total includes estimated property taxes and homeowner's insurance. Actual costs vary.
FAQ
Frequently Asked Questions
What is the average home price in Melbourne, IA?
The median home value in Melbourne is $246,496 as of mid-2026, according to Zillow's Home Value Index (ZHVI). That's up 6.7% year-over-year.
How much have home prices changed in Melbourne?
Over the past year, home values in Melbourne have increased by 6.7%. Over five years, prices have risen approximately 46.9%.
How much do I need to earn to buy a home in Melbourne?
To comfortably afford the median home price of $246,496 with a 20% down payment ($49,299) at today's rates (6.8%), you'd need a gross annual income of approximately $65,320. This assumes keeping total housing costs at or below 30% of gross income.
How does Melbourne compare to the national average home price?
The national median home value is approximately $410,000. At $246,496, homes in Melbourne are 40% below the national average.
What metro area is Melbourne part of?
Melbourne is part of the Marshalltown, IA metropolitan area. Home prices and market conditions can vary across the broader metro region.